Commodities markets summary

Oil prices fell again, with New York prices down a third straight day, amid rising stockpiles in the United States and a tepid picture for economic growth.

The New York benchmark, West Texas Intermediate (WTI) crude for December delivery, lost 39 US cents to finish at $US96.38 a barrel on Thursday.

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In London, Brent crude for December gave up $US1.02 to $US108.84 a barrel.

The steady accumulation of commercial stockpiles of crude in the United States since early October has taken WTI prices lower. On Wednesday the weekly report showed another rise, nearly double analyst forecasts.

PRECIOUS METALS

Gold and silver prices tumbled with investors were spooked by the Federal Reserve's surprisingly bullish view of the US economy and stronger economic data cut holdings of the precious metals.

Brighter US economic data buttressed the Fed's view of a firming US economy.

Chicago-area manufacturing purchasing managers' index rocketed up to 65.9 in October from 55.7 in September, exceeding analyst estimates by more than 10 points.

Initial jobless claims fell by 10,000 to a seasonally adjusted 340,000 in the week ended October 26, the Labor Department said. Economists had expected a steeper reduction in the layoffs measure, forecasting 335,000 new claims.

The most actively traded gold contract, for December delivery, fell $US25.60, or 1.9 per cent, to settle at $US1,323.70 per troy ounce on the Comex division of the New York Mercantile Exchange.

BASE METALS

Base metals on the London Metal Exchange (LME) fell after a strong reading on manufacturing activity in the US added to mounting fears that US economic stimulus could be withdrawn.

At the close of open-outcry trading in the London ring, LME three-month copper was 0.6 per cent lower on the day at $US7,249 a metric ton.